99p Stores launches unlimited broadband for 99p a week: How cheap is that?

High street bargain retailer 99p Stores has launched a new 99p/week unlimited broadband service – but how cheap is it really?

For the first six months you’ll pay £4.29/month for 99p Stores broadband plus £14.50/month for line rental for a total of £18.79/month.

After those first six months are up, the cost of the broadband element of the deal jumps to £8.50/month – seeing you paying £23/month once you add the line rental.

99p a week sounds cheap on paper, but how do all the extra costs add up?

99p Stores unlimited broadband is cheaper than BT’s – but it’s not the cheapest deal on the marketCompared to BT’s nearest equivalent deal – Unlimited Broadband – you’d save £8.99/month after the introductory periods of both packages were over.

BT Unlimited Broadband costs £23.99/month (£8 for broadband and £15.99 for line rental) for the first six months before the price climbs to £31.99 (£16 for broadband and £15.99 line rental) and a £6.95 delivery charge for the BT Home Hub 4.

99 Stores broadband comes with a one-off £69 charge for connection but even then over the course of that first year, with the current six month discounts included, you’re better off by £20.09. Not the biggest saving in the world but a saving nonetheless.

Direct Save’s unlimited broadband deal costs £17.70/month (£1.95 for broadband plus £17.75 line rental). That’s £1.09/month cheaper than the 99p Stores deal at its cheapest and £5.30/month cheaper at all other times.

The set-up fee you pay to Direct Save (£24.95) is also cheaper by £44.05.

Primus Saver’s nearest equivalent deal costs £16.90 (£2 for broadband and £14.90 line rental) for the first six months – £1.89 cheaper than 99p Stores.

After six months, Primus Saver’s total price jumps to £18.90/month (£4 for broadband, £14.90 for line rental), which is £4.10/month cheaper than 99p Stores offer. There’s also no activation or set-up fee with Primus Saver, so that makes the total first year cost a whole £69 less expensive too.

In our table you can see how the 99p Stores offer compares to the equivalent package from market leader BT and two other leading budget ISPs.

All of the services listed are ADSL2+ services, meaning in theory they offer top download speeds of 24Mbps. The speeds you’ll actually get depend on your distance from your local exchange.

Line rental saver deals see you paying a big lump sum up front, but you pay less in the long run than if you stuck with the standard rate of rental Note also that BT’s line rental prices are going up from December 1 2014.